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Don't know if you've successfully connected to anything yet outside of the proxy path that you are trying to get working. but as this is a "PrivilegedActionException", have you set permissions?
The following are two that I have had to set for other network based package:
call dbms_java.grant_permission('scott', 'java.net.SocketPermission', '*', 'accept, connect,listen, resolve');call dbms_java.grant_permission('scott', 'java.net.NetPermission', '*', 'accept, connect,listen, resolve');
Might be worth trying to connect to something without the proxy setting first.